Lawsuit Against Foxconn Dropped
Plaintiffs attorney withdraws suit, due to new information discovered, while preserving right to re-file case.
Daniel Hintz and Hintz Real Estate Development filed the suit alleging the Taiwanese tech company and the municipalities had breached their contract. Racine County and Mount Pleasant have spent millions of dollars on upfront investments, including infrastructure and land acquisition for the project since 2017.
“After filing the lawsuit, plaintiffs came into information — previously unknown to them that convinced them that now was not the right time to interject — (and) that assistance, that discussions were occurring that could benefit the village and the county, and that the lawsuit at this time might be counter-productive,” said Stuart Chanen, an attorney for Hintz. “The dismissal was without prejudice, so plaintiffs have preserved their right and ability to refile if progress is not achieved.”
In a statement, Foxconn representatives said they could not comment on current or past legal matters.
“Foxconn continues to fulfill its financial obligations under the local development agreement and is proud to be the largest taxpayer in the Village of Mount Pleasant and Racine County,” the statement says.
Racine County and the Village of Mount Pleasant released a statement saying they’re pleased this issue was quickly resolved and both governments look forward to “continued progress and partnership on the Wisconn Valley Science and Technology Park.”
Foxconn originally proposed a “Gen 10.5” facility that would manufacture the latest high-tech LCD monitors in Mount Pleasant. In return, the state’s GOP leaders signed a $3 billion tax incentives deal based on job creation.
At the local and regional levels, Mount Pleasant and Racine County created a tax-increment financing district in 2017 to pay for a $764 million investment to support the Foxconn project. The public investment was later increased to $911 million.
Foxconn representatives say they’re optimistic an amendment to the original contract with the state is “within reach.”
“In response to market conditions that were unforeseeable three years ago, Foxconn formally came to the table with WEDC (Wisconsin Economic Development Corp.) in August 2020 with a desire to lower taxpayer liability in exchange for flexibility that incentivizes future business development and job creation in Wisconsin,” Foxconn said in a Feb. 24 statement to WPR.
Breach Of Contract Lawsuit Against Foxconn Dismissed was originally published by Wisconsin Public Radio.
- Rep. Hintz: Statement on Foxconn Announcement - State Rep. Gordon Hintz - Apr 19th, 2021
- Evers Announces New, Smaller Foxconn Deal - Jeramey Jannene - Apr 19th, 2021
- Gov. Evers, Foxconn Reach New Agreement - Gov. Tony Evers - Apr 19th, 2021
- Murphy’s Law: About That Foxconn Venture Capital Fund - Bruce Murphy - Mar 30th, 2021
- Back in the News: Foxconn Could Invest $13 Billion - Bruce Murphy - Mar 16th, 2021
- Lawsuit Against Foxconn Dropped - Corri Hess - Mar 8th, 2021
- Hintz Doubts Foxconn Electric Car Project - Corri Hess - Mar 2nd, 2021
- Murphy’s Law: The Foxconn Real Estate Show - Bruce Murphy - Feb 25th, 2021
- Murphy’s Law: Local Costs for Foxconn Cut By 2% - Bruce Murphy - Feb 8th, 2021
- Foxconn Sued for Breach of Contract - Corri Hess - Feb 4th, 2021
Read more about Foxconn Facility here